Parsons (NYSE:PSN) Stock Price Down 5.8% - Here's Why

Parsons Co. (NYSE:PSN - Get Free Report) shares were down 5.8% during trading on Friday . The stock traded as low as $62.38 and last traded at $62.14. Approximately 475,795 shares changed hands during trading, a decline of 68% from the average daily volume of 1,495,316 shares. The stock had previously closed at $65.94.

Analyst Ratings Changes

Several analysts have issued reports on PSN shares. Benchmark reaffirmed a "buy" rating and set a $90.00 price target on shares of Parsons in a research report on Wednesday, February 26th. Robert W. Baird downgraded shares of Parsons from an "outperform" rating to a "neutral" rating and dropped their price objective for the company from $72.00 to $69.00 in a research note on Thursday, May 1st. Jefferies Financial Group reissued a "hold" rating and issued a $65.00 price objective (down previously from $75.00) on shares of Parsons in a research note on Monday, May 5th. Bank of America dropped their price objective on shares of Parsons from $130.00 to $110.00 and set a "buy" rating for the company in a research note on Tuesday, April 1st. Finally, Truist Financial reissued a "buy" rating and issued a $80.00 price objective (up previously from $70.00) on shares of Parsons in a research note on Thursday, May 1st. Five research analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. According to data from MarketBeat.com, Parsons currently has a consensus rating of "Moderate Buy" and an average price target of $90.20.

Parsons Stock Performance

The company has a debt-to-equity ratio of 0.31, a current ratio of 1.29 and a quick ratio of 1.55. The company's 50-day moving average price is $64.29 and its two-hundred day moving average price is $75.75. The company has a market capitalization of $6.93 billion, a price-to-earnings ratio of 85.36, a PEG ratio of 0.93 and a beta of 0.57.

Parsons announced that its board has approved a share repurchase program on Monday, March 24th that authorizes the company to repurchase $250.00 million in shares. This repurchase authorization authorizes the company to purchase up to 3.9% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's management believes its stock is undervalued.

Institutional Investors Weigh In On Parsons

A number of large investors have recently bought and sold shares of PSN. CIBC Private Wealth Group LLC acquired a new stake in Parsons in the fourth quarter worth $25,000. Aster Capital Management DIFC Ltd acquired a new stake in Parsons in the fourth quarter worth $25,000. Huntington National Bank grew its holdings in Parsons by 28,900.0% in the fourth quarter. Huntington National Bank now owns 290 shares of the company's stock worth $27,000 after purchasing an additional 289 shares during the period. Versant Capital Management Inc acquired a new stake in Parsons in the first quarter worth $27,000. Finally, Quarry LP acquired a new stake in Parsons in the fourth quarter worth $30,000. 98.02% of the stock is currently owned by institutional investors and hedge funds.

About Parsons

Parsons Corporation provides integrated solutions and services in the defense, intelligence, and critical infrastructure markets in North America, the Middle East, and internationally. The company operates through Federal Solutions and Critical Infrastructure segments. The Federal Solutions segment provides critical technologies, such as cybersecurity; missile defense; intelligence; space launch and ground systems; space and weapon system resiliency; geospatial intelligence; signals intelligence; environmental remediation; border security, critical infrastructure protection; counter unmanned air systems; biometrics and bio surveillance solutions to U.S.